Teva Turmoil: Shares Up, Board Trimmed, Chairman To Retire
Teva Pharmaceutical Industries (NYSE: TEVA) opened with a bang Wednesday when the Israeli genetics behemoth announced an early retirement for chairman Phillip Frost, whose term was set to expire next year.
The company has recently seen a share of turmoil. "The board of directors is like a nuthouse," Ori Hershkovitz, a managing partner at Sphera Funds Management told Bloomberg earlier this year.
Frost, in a letter to shareholders Wednesday, said he will step down "approximately by the end of the year." Frost holds 1.53 percent of Teva, making him the largest individual shareholder.
Frost, 77 and also the CEO of Opko Health, had suggested earlier this year that he was considering the move.
Teva also said it will trim its board, naming Jean-Michel Halfon a director, while Chaim Hurvitz, Dan Suesskind and Dafna Schwartz will retire. Erez Vigodman took the CEO position in October 2013 after Teva's board fired Jeremy Levin.
Teva traded recently at $52.08 per share, up 1.21 percent.
Editor's Note: A previous version of this story said Phillip Frost had been CEO of Teva since October 2013. Erez Vigodman has been CEO since October 2013 following the firing of Jeremy Levin. Frost has been chairman of Teva since 2010.
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